DOW JONES NEWSWIRES
Swiss drug maker Roche Holding AG (ROG.VX) Friday said it has
launched its cash tender offer for all outstanding shares of U.S.
gene-sequencing company Illumina Inc. (ILMN), which it wants to buy
to extend its leadership in medical diagnostics.
Roche's offer, made Tuesday, values Illumina at $5.7 billion.
Roche is offering $44.50 a share for the San Diego-based group.
The world's largest maker of cancer drugs said its offer and
withdrawal rights are scheduled to expire at 12:00 midnight, New
York City time, at the end of Feb. 24, unless the offer is
extended.
Earlier Friday, Illumina--which has adopted a shareholder rights
plan with a 15% trigger in an attempt to ward off Roche's
hostile-takeover attempt--said it will formally inform shareholders
within 10 business days of its position on the $5.7 billion
takeover bid. In the meantime it has advised shareholders not to
take any action.
Illumina Friday also postponed its fourth-quarter earnings
announcement, previously scheduled for Tuesday, until the board
completes its review of the Roche offer. But it backed preliminary
fourth-quarter results it disclosed at an investor conference
earlier this month.
Roche Friday said its offer is conditional upon a number of
points, including its acquisition of at least the majority of
outstanding shares and its satisfaction that the anti-takeover
provisions that Illumina has adopted don't pose a danger to the
deal.
-By Sten Stovall, Dow Jones Newswires; +44 207 842 9292;
sten.stovall@dowjones.com